Kvartalsrapport Q1 2024

===== SIDA 1 =====

First-quarter
report 2024
26 April 2024

===== SIDA 2 =====

-10
-5
0
5
10
0
10
20
30
40
% % 
8.0
0
5
10
15
% 
13.3 11.5 12.0 13.413.1
 Thousand ton C0 2e10.2
2024
0
5
10
15
20
% 
13.0 14.1 14.9 15.4 15.1
0
200
400
600
20232022202120202019
419
380 368
272
Q3 23 Q4 23Q1 23 Q1 24Q2 23 Q3 23 Q4 23Q1 23 Q1 24Q2 23 Q3 23 Q4 23Q1 23 Q1 24Q2 23 Q3 23 Q4 23Q1 23 Q1 24Q2 23
-0.5 -1.8
-6.9
17 14 13
311
ROCE3)
TARGET 16%
Decarbonized  
Operations 4) 
Adjusted operating margin
TARGET  14 %
Revenue growth1)
TARGET  5%
Net debt/Equity 2) 
TARGET <40%
SKF’s long-term financial targets shall be achieved over a business cycle
1) Including acquisitions, adjusted for divestments.
2) Excluding pension liabilities.  
3) Adjusted for items affecting comparability.  
4) 95% reduction in scope 1 and 2 emissions by 2030 vs. 2019.
Financial overview
MSEK unless otherwise stated Q1 2024 Q1 2023
Net sales 24,699 26,549
Adjusted operating profit 3,303 3,478
Adjusted operating margin, % 13.4 13.1
Operating profit 2,993 3,379
Operating margin, % 12.1 12.7
Adjusted profit before taxes 3,032 3,041
Profit before taxes 2,722 2,942
Net cash flow from operating activities 1,781 2,747
Basic earnings per share 4.15 4.55
Adjusted earnings per share 4.83 4.77
 
Q1 2024
• Net sales SEK 24,699 million (26,549) .
• Organic growth –7.0% (10.1%).
• Adjusted operating profit SEK 3,303 million (3,478).
• Operating profit SEK 2,993 million (3,379).
• Adjusted operating margin 13.4% (13.1%). 
- Industrial 16.4%  (16.8%). 
- Automotive 6.0%  (3.9%).
• Operating margin 12.1% (12.7%). 
- Industrial 15.1% (16.4%). 
- Automotive 4.8% (3.5%).
• Net cash flow from operations SEK 1,781 million (2,747).
• Basic earnings per share SEK 4.15 (4.55). 
2 SKF FIRST-QUARTER REPORT 2024

===== SIDA 3 =====

Our first quarter performance marked another step towards a 
more resilient and competitive SKF. In soft market conditions, 
we delivered a strong adjusted operating margin of 13.4%, some-
what ahead of Q1 2023. The margin improvement clearly demon-
strates our improved resilience in a situation where organic 
growth shifted from +10% in Q1 last year to -7% this year.
The improved performance is explained by our active and 
ongoing focus on business cycle management, in combination 
with a continued execution of our ongoing strategic initiatives, 
such as supply chain and footprint optimization, portfolio 
management, and enhanced sustainability leadership.  
All in all, we are well-positioned to capture profitable growth 
opportunities once demand bounces back again.
Strong margin despite sales decline in Q1 
Net sales in the first quarter were SEK 24,699 million in a more 
challenging economic environment. As expected, we saw a 
soft  customer demand in the quarter with large variations 
across our different industries. We continued to perform well 
within our targeted high-growth segments. For example, aero-
space, railway, and electric vehicles maintained strong growth 
rates, fueled by innovative solutions developed in close collab-
oration with our customers. 
Organic growth in India and Southeast Asia (ISEA) was  
1% driven by a strong performance in heavy industries and 
light vehicles. In Europe, Middle East and Africa (EMEA)  
the organic sales decline was -5%, with negative growth in 
most industries, while aerospace and railway contributed 
positively. 
Organic growth in China and Northeast Asia (CNEA) was 
-11% in the quarter, which is mainly explained by the slow-
down in wind sales. We don’t expect a short-term recovery  
in wind and, consequently, we are increasing our focus on 
other industries, such as heavy industries. Excluding wind, 
growth in CNEA was relatively flat and we saw a positive 
development in railway and marine with double-digit growth 
rates. 
In the Americas, the sales decline was -10%, driven by the 
continued negative trend with OEM customers destocking, 
but also due to our efforts in phasing out lower profit busi -
nesses. We are now striving to broaden our customer base  
in certain industrial verticals and thereby increasing our 
A more resilient and competitive SKF
resilience towards shifting economic cycles. This is a top  
priority for our new leadership in the region that was 
announced early in the quarter. 
In total, the adjusted operating profit was  
SEK 3,303 million (3,478 million), corresponding to an 
adjusted operating margin of 13.4% (13.1%). A strong perfor -
mance given the decline in net sales. A key contributor has 
been our ongoing strategic transformation initiatives,  
including investments in regionalization and in building  
competitive value chains to ensure that we quickly can ramp 
up production once demand bounces back. In parallel, we 
have continued to execute tactical activities to manage the 
business cycle, where decentralized accountability for pric -
ing, portfolio pruning, and cost management have been vital.
Due to all these activities, our Industrial business contin -
ued to perform well in the first quarter and maintained an 
adjusted operating margin above 16%, while the margin for 
our Automotive business improved to above 6%.
Cash flow from operations was fairly normal for a first 
quarter and was SEK 1.8 billion. We continue our active work 
across all business areas to further improve the net working 
capital performance with a special focus on inventory  
reduction.
Continued execution of ongoing strategic initiatives 
We continue to diligently work on implementing and executing 
our strategy, increasing our efficiency, and reducing fixed 
costs. Key focus areas in 2024 are further optimization of our 
supply chain and footprint, managing and restructuring our 
portfolio, and gearing up for intelligent and clean growth.  
A common theme across these priorities is innovation, where 
we, together with our customers, develop products and solu-
tions that create significant value. This enables us to defend 
or increase our market share in many important industrial 
 segments, and thereby re-enforce our position as a leader  
in the industry.
As a global leader within railway, representing 5% of our 
total sales and outgrowing the market in recent years, we 
 constantly drive innovation in close cooperation and partner-
ship with our customers, both OEMs and operators, to develop 
solutions for enhanced fleet efficiency and reliability. As an 
example, we recently developed new high speed ceramic deep 
groove ball bearings for railway drives.
To gear up for intelligent and clean growth, investments  
in decarbonization, high speed rotation and low-friction  
products and services are key. We have developed a bearing  
tailored for the robotics industry, with a reduced manufacturing 
CO2 footprint of 70%, enabling an additional 20% CO2 reduction 
in the end customer application. This is a great example of how 
SKF, together with our customers, are laying a foundation for a 
more sustainable future. I am also encouraged that we have 
received the Platinum Medal for the fourth year running in the 
sustainability rating from EcoVadis and the top Climate Change 
rating available from CDP.
Our strong financial performance due to our ability to 
 mitigate the impact from the economic slowdown, and in parallel 
effectively execute our strategic transformation, would not have 
been possible without our dedicated employees. I would like to 
take this opportunity to express my sincere appreciation to all 
colleagues and partners across the SKF footprint.
Outlook 
We expect to see continued market volatility and geopolitical 
uncertainty and the business is prepared to tackle different 
 scenarios. Looking into the second quarter of 2024, we expect a 
mid single-digit organic sales decline. For the full year, we expect 
a low single-digit organic sales decline, compared to 2023.
Rickard Gustafson
President and CEO
3 SKF FIRST-QUARTER REPORT 2024

===== SIDA 4 =====

Financial performance 
Key figures 31 March 2024 31 Dec 2023 31 March 2023
Net working capital, % of 12 months rolling sales 30.9 27.7 32.4
ROCE for the 12-month period, %1) 15.1 15.4 13.0
Net debt/equity, % 26.6 29.5 39.8
Net debt/equity, excluding post-employment benefits, % 13.0 13.9 24.0
Net debt/EBITDA 1.1 1.1 1.7
1) Adjusted for items affecting comparability.  
First quarter 2024
Operating profit for the first quarter was SEK 2,993 million 
(3,379). Operating profit included items affecting comparability 
of SEK –310 million (–99), whereof SEK –214 million (-99) related 
to ongoing restructuring and cost reduction activities and  
factory closures, and SEK  –96 million (0) related to impairments.
 The adjusted operating profit for the first quarter was  
SEK 3,303 million (3,478). The adjusted operating profit was 
positively impacted by price and mix. It was also positively 
impacted by cost decreases where material, energy and logistic 
costs were lower than last year. The adjusted operating profit 
was negatively impacted by lower sales and manufacturing  
volumes, currency effects and higher salaries and wages 
compared to last year.
Adjusted operating profit  bridge, MSEK Q1
2023 3,478
Currency impact –296
Divested businesses —
Organic sales & Manufacturing volumes –429
Cost development 550
2024 3,303
• Financial income and expense, net was SEK  –271 million 
(–437). Exchange rate fluctuations had a more negative effect 
in the first quarter 2023, compared to the first quarter 2024 
while interest expenses were higher in 2024.
• Taxes in the quarter was SEK –720 million (–783) resulting  
in an effective tax rate of 26.4% (26.6%). 
• Net cash flow from operating activities in the first quarter 
was SEK 1,781 million (2,747). Changes in net working capital 
impacted negatively in the quarter, mainly driven by 
increased accounts receivable. The higher cash flow in 2023 
was mainly driven by reduction in net working capital.
• Net working capital in percent of annual sales was 30.9% in 
March 2024 compared to 32.4% in March 2023. The ratio was 
positively affected by lower inventory levels in relation to 
sales compared to last year. 
• Provisions for post-employment benefits, net decreased by 
SEK   –390 million (–155) in the first quarter. The decrease was 
driven by actuarial gains on gross obligation due to higher 
discount rates as well as payments made in the quarter, 
partly offset by currency effects.
4 SKF FIRST-QUARTER REPORT 2024

===== SIDA 5 =====

India and Southeast 
Asia 9%
Light vehicles 51%
Vehicle 
aftermarket 31%
C ommercial 
vechicles 18%
Europe, 
Middle East 
and Africa 44%
India and Southeast 
Asia 12%
The Americas 30%
China and 
Northeast 
Asia 14%
Europe, 
Middle East 
and Africa 44%
The Americas 29%
China and 
Northeast 
Asia 18%
Aerospace 10%
Industrial 
distribution 38%
Other  6%
Automation 2 %
Material handling 2%
Marine 3%
Off-highway 3%
Traditional energy 3%
Renewable energy 4%
Agri, food and beverage 5 %
Railway 8%
High-speed machinery 
and  electrical drives 8 %
Heavy industries 8 %
Q1
Net sales, change y-o-y, % Organic 1) Structure Currency Total
SKF Group –7.0 0.1 0.0 –6.9
Industrial –7.3 0.1 –0.2 –7.4
Automotive –6.2 0.0 0.4 –5.8
1) Price, mix and volume
Q1
Organic sales in local currencies, change y-o-y, %
Europe, Middle  
East &   Africa
The  
Americas
China &   
Northeast Asia
India & 
Southeast Asia
SKF Group –4.9 –9.9 –11.2 1.2
Industrial -- --- --- +/-
Automotive -- --- +/- ++
Q1
Customer industries
Europe, Middle  
East &   Africa
The  
Americas
China &   
Northeast Asia
India & 
Southeast Asia
Organic sales in local currencies, change y-o-y:
Industrial distribution -- - ++ +/-
High-speed machinery and electrical drives --- --- --- --
Other -- --- -- --
Renewable energy --- --- --- ---
Heavy industries --- --- -- +++
Aerospace +++ +++ --- +/-
Railway +/- --- +++ +
Agriculture, food and beverage --- --- --- ---
Off-highway --- --- ++ ---
Marine +/- --- +++ ---
Material handling --- ++ --- ++
Automation --- - --- +++
Traditional energy +++ --- +/- --
Light vehicles -- --- ++ +++
Vehicle aftermarket +/- --- +++ +/-
Commercial vehicles --- ++ --- ---
Sales
Net sales by customer industry for Automotive Q1 2024
Net sales by region for Automotive Q1 2024
Net sales by region for Industrial Q1 2024
Net sales by customer industry for Industrial Q1 2024
5 SKF FIRST-QUARTER REPORT 2024

===== SIDA 6 =====

Industrial 
Comments on organic sales in local currencies in the first 
 quarter 2024, compared to the first quarter 2023  
Europe, Middle East and Africa
Overall, sales were lower in the quarter. By industry, sales  
to aerospace and traditional energy were significantly 
higher. To railway and marine it was relatively unchanged 
while it was lower to industrial distribution and other. Sales 
to high-speed machinery and electrical drives, renewable 
energy, heavy industries, agriculture, food and beverage, 
off-highway, material handling and automation were 
 significantly lower compared to Q1 2023.      
The Americas
Overall, sales were significantly lower in the quarter. By 
industry, sales to aerospace were significantly higher and 
sales to material handling were higher. To industrial distribu -
tion and automation it was slightly lower. Sales to all other 
industrial segments were significantly lower compared to  
Q1 2023.
China and Northeast Asia
Overall, sales were significantly lower in the quarter. By  
industry, sales to railway and marine were significantly higher.  
To industrial distribution and off-highway it was higher while 
it was relatively unchanged to traditional energy. Sales to 
other and heavy industries were lower while sales to high-speed 
machinery and electrical drives, renewable energy, aerospace, 
agriculture, food and beverage, material handling and auto -
mation were all significantly lower compared to Q1 2023. 
India and Southeast Asia
Overall, sales were relatively unchanged in the quarter.  
By industry, sales to heavy industries and automation were  
significantly higher. To material handling it was higher and  
to railway it was slightly higher while sales to industrial 
 distribution and aerospace were relatively unchanged.  
Sales to high-speed machinery and electrical drives, other 
and traditional energy were lower while sales to renewable 
energy, agriculture, food and beverage, off-highway and 
marine were significantly lower compared to Q1 2023.
Segment information
1)
 
MSEK unless otherwise stated
Industrial Automotive
 Q1 2024 Q1 2023 Q1 2024 Q1 2023
Net sales 17,487 18,892 7,212 7,657
Adjusted operating profit 2,867 3,182 436 296
Adjusted operating margin, % 16.4 16.8 6.0 3.9
Operating profit 2,644 3,108 349 271
Operating margin, % 15.1 16.4 4.8 3.5
1)  Previously published figures for 2023 have been restated to reflect change in responsibilities for factories and Group functions in accordance with 
new organizational structure.
Automotive
Comments on organic sales in local currencies in the first 
quarter 2024, compared to the first quarter 2023
Europe, Middle East and Africa
Sales in the quarter were lower compared to last year. Sales 
to the vehicle aftermarket were relatively unchanged while 
sales to light vehicles were lower and to commercial vehicles 
it was significantly lower. 
The Americas
Sales in the quarter were significantly lower compared  
to last year, with higher sales to commercial vehicles and  
significantly lower sales to light vehicles and the vehicle 
aftermarket. 
China and Northeast Asia
Sales in the quarter were relatively unchanged compared  
to last year. To the vehicle aftermarket it was significantly 
higher, to light vehicles it was higher while sales to commer -
cial vehicles were significantly lower. 
India and Southeast Asia
Sales in the quarter were higher compared to last year with 
significantly higher sales to light vehicles. To the vehicle 
aftermarket it was relatively unchanged while sales to com -
mercial vehicles were significantly lower. 
6 SKF FIRST-QUARTER REPORT 2024

===== SIDA 7 =====

Industrial 
Comments on adjusted operating profit 2024, compared  
to 2023
First quarter 2024
The adjusted operating profit for the first quarter was 
SEK 2,867 million (3,182). The adjusted operating profit was 
positively impacted by price and mix as well as lower costs 
for material, energy, and logistics compared to last year. 
The adjusted operating profit was negatively impacted by 
lower sales and manufacturing volumes, higher costs for 
salaries and wages, and currency effects.  
Automotive 
Comments on adjusted operating profit 2024, compared  
to 2023
First quarter 2024
The adjusted operating profit for the first quarter was  
SEK 436 million (296). The adjusted operating profit was  
positively impacted by price and mix as well as lower costs 
for material, energy, and logistics, while salaries and wages 
remained relatively unchanged compared to last year. The 
adjusted operating profit was negatively impacted by lower 
sales and manufacturing volumes and currency effects. 
Adjusted operating profit bridge, MSEK Q1
2023 3,182
Currency –210
Divested businesses —
Organic sales & Manufacturing volumes –433
Cost development 328
2024 2,867
Adjusted operating profit bridge, MSEK Q1
2023 296
Currency –86
Divested businesses —
Organic sales & Manufacturing volumes 4
Cost development 222
2024 436
Hybrid ball bearing for  
railway drive systems.
7 SKF FIRST-QUARTER REPORT 2024

===== SIDA 8 =====

Outlook and  
Guidance 
Demand for Q2 2024 compared to Q2 2023  
Looking into the second quarter of 2024, we expect  
a mid single-digit organic sales decline.  
 
Guidance for Q2 2024
Currency impact on the operating profit is 
expected to be around SEK 200 million negative 
compared with the second quarter 2023, based on 
exchange rates per 31 March 2024. 
Guidance 2024
• For the full year, we expect a low single-digit 
organic sales decline, compared to 2023.
• Tax level excluding effects related to divested 
 businesses: around 26%. 
• Additions to property, plant and equipment:  
around SEK 5.5 billion. 
Previous outlook and 
guidance statement 
Demand for Q1 2024 compared to Q1 2023  
Looking into the first quarter of 2024, we expect  
a mid single-digit organic sales decline.  
 
Guidance for Q1 2024
Currency impact on the operating profit is 
expected to be around SEK 400 million negative 
compared with the first quarter 2023, based on 
exchange rates per 31 December 2023. 
Guidance 2024
• For the full year, we expect a low single-digit 
organic sales decline, compared to 2023.
• Tax level excluding effects related to divested 
businesses: around 26%. 
• Additions to property, plant and equipment:  
around SEK 5.5 billion. 
8 SKF FIRST-QUARTER REPORT 2024

===== SIDA 9 =====

22 January 2024 - SKF Awarded EcoVadis Platinum Rating  
SKF has been awarded a Platinum Medal by EcoVadis for the fourth year  
running. EcoVadis is one of the most trusted providers of sustainability ratings 
for use in supply chains. This recognition places SKF in the top 1% among the 
more than 100,000 companies assessed worldwide. 
30 January 2024 - 100% renewable electricity in the U.S. and Canada  
SKF has reached a significant sustainability milestone by entering two 
Renewable Energy Certificate purchase agreements in North America.  
This will enable SKF factories and facilities in the U.S. and Canada to achieve 
100% renewable electricity. 
6 February 2024 - Recognized with ‘A’ score from CDP 
SKF has received an ‘A’, the top Climate Change rating available from the global  
organization CDP. SKF is one of only 346 companies out of over 21,000 assessed 
to achieve an ‘A’ score.
Changes in Group Management 
As a consequence of SKF accelerating its strategic transformation to drive 
profitable growth, the leadership in two of the industrial regions, the Americas 
and India and Southeast Asia, was changed.
Manish Bhatnagar, former President, Industrial Region India and Southeast 
Asia (ISEA) was on 6 February appointed President, Industrial Region Americas. 
Mukund Vasudevan was on 19 March appointed President, Industrial Region 
ISEA, and joined SKF 8 April. John Schmidt, President, Industrial Region 
Americas, stepped down from his role in Group Management on 6 February. 
26 March 2024 - Annual General Meeting of AB SKF 
Hans Stråberg, Hock Goh, Geert Follens, Håkan Buskhe, Susanna Schneeberger, 
Rickard Gustafson, Beth Ferreira, Therese Friberg, Richard Nilsson and Niko 
Pakalén were reelected as Board members. Hans Stråberg was elected Chair  
of the Board. Håkan Buskhe was elected Vice Chair of the Board by the Board  
of Directors at the Statutory Board meeting. 
More information on https://investors.skf.com/en/press-releases
Significant events
SKF has signed a 12-year agreement with 
Clearway Energy Group, starting in 2026, for a 
portion of the Renewable Energy Certificates  
generated from a solar farm currently under 
construction in Kent County, Texas, USA. 
9 SKF FIRST-QUARTER REPORT 2024

===== SIDA 10 =====

0
3
6
9
12
 2024 Q1 1)202320222021
SEK billion
 Thousand ton C0 2 e Equivalent energy GWh
9.2 10.1
 Thousand ton C0 2 e
 Equivalent energy GWh
10.6
0
100,000
200,000
300,000
400,000
2023202220212020
0
0.25
0.50
0.75
1.00
 2024 Q1 1)202320222021
0.67 0.68 0.64 0.61
0
500
1,000
1,500
2,000
10.3
0
3
6
9
12
 2024 Q1 1)202320222021
SEK billion
 Thousand ton C0 2 e Equivalent energy GWh
9.2 10.1
 Thousand ton C0 2 e
 Equivalent energy GWh
10.6
0
100,000
200,000
300,000
400,000
2023202220212020
0
0.25
0.50
0.75
1.00
 2024 Q1 1)202320222021
0.67 0.68 0.64 0.61
0
500
1,000
1,500
2,000
10.3
0
3
6
9
12
 2024 Q1 1)202320222021
SEK billion
 Thousand ton C0 2 e Equivalent energy GWh
9.2 10.1
 Thousand ton C0 2 e
 Equivalent energy GWh
10.6
0
100,000
200,000
300,000
400,000
2023202220212020
0
0.25
0.50
0.75
1.00
 2024 Q1 1)202320222021
0.67 0.68 0.64 0.61
0
500
1,000
1,500
2,000
10.3
Sustainability performance
Sustainability is an integral part of SKF’s strategy to drive Intelligent and Clean growth. 
By creating more efficient and durable solutions for industries, significantly cutting 
emissions by 2030 and achieving net-zero greenhouse gas emissions in the supply chain 
by 2050, SKF is pioneering sustainability in its sphere. In addition to enabling a more 
sustainable industry, SKF is focusing on running its own business in a transparent and 
responsible manner.
Cleantech revenues  
Cleantech includes revenues from key areas, such as: 
renewable energy, electric vehicles, electric railway, 
 recycling industry, bearing remanufacturing, RecondOil 
and magnetic bearing solutions.
1) Previously published figures for 2021 and 2022 have been restated based 
on adaptation of the scope to better reflect and align with the sectors in the 
EU Taxonomy. 2024 figures relate to the latest 12 months period.
Accident rate
The accident rate measures the number of recordable  
accidents per 100 employees per year.  
1)  2024 figures relate to the latest 12 months period.
CO2 emissions, Equivalent energy
CO2 emissions 1) for SKF’s operations (Scope 1 and 2 
according to the Greenhouse Gas protocol) and total 
energy use for the same scope are presented in the  
graph. SKF continues to make good progress towards the 
Group’s goal to have decarbonized operations by 2030.
1)  Due to external reporting constraints, this data is presented for the  
end of the previous quarter.
From fueling vehicles to providing heat and  electricity 
for industry, green hydrogen works as a versatile energy 
carrier. All by only emitting water.  
10 SKF FIRST-QUARTER REPORT 2024

===== SIDA 11 =====

Condensed consolidated  
income statements
MSEK Jan-Mar 2024 Jan-Mar 2023
Net sales 24,699 26,549
Cost of goods sold –17,604 –19,162
Gross profit 7,095 7,387
Research and development expenses –826 -806
Selling and administrative expenses –3,234 –3,207
Other operating income/   expenses, net –42 5
Operating profit 2,993 3,379
Financial income and expenses, net –271 –437
Profit before taxes 2,722 2,942
Income taxes –720 –783
Net profit 2,002 2,159
Net profit attributable to:
Shareholders of AB SKF 1,888 2,073
Non-controlling interests 114 86
Basic earnings per share (SEK)1) 4.15 4.55
1) Shares from the Performance Share Programme are not considered dilutive, therefore, diluted earnings  
per share is equal to basic earnings per share.
Condensed consolidated statements 
of comprehensive income
MSEK Jan-Mar 2024 Jan-Mar 2023
Net profit 2,002 2,159
Items that will not be reclassified to the income statement:
Remeasurements (actuarial gains and losses) 510 210
Assets at fair value through other comprehensive income –21 —
Income taxes –113 –41
376 169
Items that may be reclassified to the income statement:
Exchange differences arising on translation of foreign 
operations 2,735 115
Assets at fair value through other comprehensive income — 18
Income taxes — —
2,735 133
Other comprehensive income, net of tax 3,111 302
Total comprehensive income 5,113 2,461
Shareholders of  AB SKF 4,869 2,381
Non-controlling interests 244 80
11 SKF FIRST-QUARTER REPORT 2024

===== SIDA 12 =====

Condensed consolidated  
balance sheets
MSEK March  2024 December 2023
Goodwill 12,678 11,962
Other intangible assets 5,148 5,045
Property, plant and equipment 28,360 26,820
Right-of-use asset leases 3,097 2,961
Deferred tax assets 3,235 3,107
Other non-current assets 2,490 2,091
Non-current assets 55,008 51,986
Inventories 24,552 23,194
Trade receivables 18,668 16,811
Other current assets 6,662 5,859
Other current financial assets 14,496 14,053
Current assets 64,378 59,917
Total assets 119,386 111,903
Equity attributable to shareholders of  AB SKF 57,687 52,743
Equity attributable to non-controlling interests 2,457 2,213
Long-term financial liabilities 18,776 17,894
Provisions for post-employment benefits 8,733 8,797
Provisions for deferred taxes 1,378 1,220
Other long-term liabilities and provisions 1,459 1,422
Non-current liabilities 30,346 29,333
Trade payables 11,645 11,236
Short-term financial liabilities 4,034 4,060
Other short-term liabilities and provisions 13,217 12,318
Current liabilities 28,896 27,614
Total equity and liabilities 119,386 111,903
Condensed consolidated statements  
of changes in shareholders’ equity
MSEK Jan-Mar 2024 Jan-Mar 2023
Opening balance 1 January 54,956 54,043
Net profit 2,002 2,159
Hyperinflation adjustments 91 137
Components of other comprehensive income
Currency translation adjustments 2,735 115
Change in FV OCI assets and cash flow hedges –21 18
Remeasurements 510 210
Income taxes –113 –41
Transactions with shareholders
Non-controlling interest — —
Cost for Performance Share 
Programmes, net –30 6
Dividends 15 –3,187
Other –1 —
Closing balance 31 March 60,144 53,460
12 SKF FIRST-QUARTER REPORT 2024

===== SIDA 13 =====

MSEK Jan-Mar 2024 Jan-Mar 2023
Operating activities:
Operating profit 2,993 3,379
Non-cash items:
Depreciation, amortization and impairment 1,072 998
Net loss/gain (–) on sales of PPE and businesses –2 –29
Other non-cash items 376 348
Income taxes paid –726 –636
Interest received 82 55
Interest paid –192 –154
Other –241 –255
Changes in working capital: –1,581 –959
Inventories –216 –58
Accounts receivable –1,094 –1,764
Accounts payable    –73 598
Other operating assets/liabilities –198 265
Net cash flow from operating activities 1,781 2,747
Investing activities:
Payments for intangible assets, PPE, businesses and equity 
securities –997 –1,502
Sales of PPE, businesses and equity securities 8 68
Net cash flow used in investing activities –989 –1,434
Net cash flow after investments before financing 792 1,313
MSEK Jan-Mar 2024 Jan-Mar 2023
Financing activities:
Proceeds from short- and long-term loans 2 27
Repayments of short- and long-term loans –68 –66
Repayment leases –202 –190
Cash dividends — –3,187
Other financing items — —
Investments in short-term financial assets –122 –229
Sales of short-term financial assets 50 103
Net cash flow used in financing activities –340 –3,542
Net cash flow 452 –2,229
Change in cash and cash equivalents:
Cash and cash equivalents at 1 January 13,311 10,255
Cash effect excl. acquired/sold businesses 452 –2,229
Cash effect of acquired/sold businesses — —
Exchange rate effect 97 –72
Cash and cash equivalents at 31 March 13,860 7,954
Change in Net debt
Closing  
balance  
31 March  
2024
Other  
non-cash  
changes
Acquired/
sold 
 businesses
Cash   
changes 
Translation  
effect
Opening  
balance  
1 January 
2024
Loans, long- and short-term 19,063 –3 — –66 636 18,496
Post-employment benefits, net 8,188 –272 — –441 323 8,578
Lease liabilities 2,980 210 — –202 136 2,836
Financial assets, others –388 149 — –110 –19 –408
Cash and cash equivalents –13,860 — — –452 –97 –13,311
Net debt 15,983 84 — –1,271 979 16,191
Condensed consolidated statements of cash flow
13 SKF FIRST-QUARTER REPORT 2024

===== SIDA 14 =====

Condensed consolidated financial information 
MSEK unless otherwise stated
Q2/22 Q3/22 Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24
Net sales 23,655 24,975 25,361 26,549 27,123 25,771 24,438 25,699
Cost of goods sold –17,777 –19,223 –19,012 –19,162 –19,720 –19,161 –19,498 –17,604
Gross profit 5,878 5,752 6,349 7,387 7,403 6,610 4,940 7,095
Gross margin, % 24.9 23.0 25.0 27.8 27.3 25.6 20.2 28.7
Research and development expenses –806 –779 –827 –806 –864 –785 –848 –826
Selling and administrative expenses –3,094 –2,831 –3,319 –3,207 –3,414 –3,214 –2,222 –3,234
- as % of sales 13.1 11.3 13.1 12.1 12.6 12.5 9.1 13.1
Other operating income/ expenses, net –397 –213 –134 5 89 –45 55 –42
Operating profit 1,581 1,929 2,069 3,379 3,213 2,567 1,925 2,993
Operating margin, % 6.7 7.7 8.2 12.7 11.8 10.0 7.9 12.1
Adjusted operating profit 2,473 2,131 2,542 3,478 3,614 2,956 2,929 3,303
Adjusted operating margin, % 10.5 8.5 10.0 13.1 13.3 11.5 12.0 13.4
Financial net –484 –311 –376 –437 –383 –374 –709 –271
Profit before taxes 1,097 1,618 1,693 2,942 2,830 2,193 1,216 2,722
Profit margin before taxes, % 4.6 6.5 6.7 11.1 10.4 8.5 5.0 11.0
Income taxes –511 –394 –709 –783 –668 –460 –493 –720
Net profit 586 1,224 984 2,159 2,162 1,733 723 2,002
Net profit attributable to:
Shareholders of AB SKF 493 1,099 893 2,073 2,042 1,657 623 1,888
Non-controlling interests 93 125 91 86 120 76 100 114
14 SKF FIRST-QUARTER REPORT 2024

===== SIDA 15 =====

Reconciliation of profit before taxes for the Group
MSEK Q2/22 Q3/22 Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24
Operating profit:
Industrial 1) 1,692 1,708 1,763 3,108 2,633 2,081 1,913 2,644
Automotive 1) –111 221 306 271 580 486 12 349
Financial net –484 –311 –376 –437 –383 –374 –709 –271
Profit before taxes for the Group 1,097 1,618 1,693 2,942 2,830 2,193 1,216 2,722
1) Previously published figures for 2022 and 2023 have been restated to reflect change in responsibilities for factories and Group functions in accordance with new organizational structure.
Number of shares
Jan-Mar 2024 Jan-Mar 2023
Total number of shares: 455,351,068 455,351,068
 -  whereof A shares 29,286,933 29,403,933
 -  whereof B shares 426,064,135 425,947,135
Weighted average number of shares in:
 -  basic earnings per share 455,351,068 455,351,068
15 SKF FIRST-QUARTER REPORT 2024

===== SIDA 16 =====

Key figures 
Definitions, see page 20
Q2/22 Q3/22 Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24
EBITDA, MSEK 2,478 2,906 3,118 4,377 4,154 3,645 3,204 4,065
EBITA, MSEK 1,741 2,094 2,234 3,541 3,377 2,732 2,092 3,152
Adjusted operating profit, MSEK 2,473 2,131 2,542 3,478 3,614 2,956 2,929 3,303
Adjusted operating margin, % 10.5 8.5 10.0 13.1 13.3 11.5 12.0 13.4
Basic earnings per share, SEK 1.08 2.41 1.96 4.55 4.48 3.64 1.37 4.15
Adjusted earnings per share, SEK 2.90 2.86 3.00 4.77 5.36 4.49 3.57 4.83
Dividend per share, SEK — — — 7.00 — — — —
Net worth per share, SEK 109 117 114 113 121 123 116 127
Share price at the end of the period, SEK 150.5 150.3 159.2 204.0 187.6 182.2 201.3 218.5
NWC, % of 12 months rolling sales 35.7 35.6 32.4 32.4 32.7 31.2 27.7 30.9
ROCE for the 12-month period, % 12.7 11.5 10.6 11.0 12.7 13.3 13.3 12.7
ROE for the 12-month period, % 13.8 11.7 9.5 9.4 12.0 12.6 12.0 11.5
Gearing, % 35.2 36.6 35.6 35.9 34.9 34.0 35.2 33.5
Equity/assets ratio, % 48.2 47.7 48.7 47.9 48.7 49.8 49.1 50.4
Additions to property, plant and equipment, MSEK 1,372 1,288 1,347 1,498 1,608 1,167 1,478 989
Net debt/equity, % 37.7 35.2 35.2 39.8 35.4 30.8 29.5 26.6
Net debt, MSEK 19,444 19,441 19,034 21,303 20,393 17,893 16,191 15,983
Net debt/EBITDA 1.5 1.5 1.5 1.7 1.4 1.2 1.1 1.1
Registered number of employees 42,602 42,885 42,641 42,083 41,675 41,141 40,396 40,051
SKF applies the guidelines issued by ESMA (European Securities and Markets Authority) on APMs (Alternative Performance Measures).  
These key figures are not defined or specified in IFRS but provide complementary information to investors and other stakeholders on the  
company’s performance. The definition of each APM is presented at the end of the interim report. For the reconciliation of each APM  
against the most reconcilable line item in the financial statements, see investors.skf.com/en.
16 SKF FIRST-QUARTER REPORT 2024

===== SIDA 17 =====

Segment information – quarterly figures 
1)
 
MSEK unless otherwise stated
Industrial Q2/22 Q3/22 Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24
Net sales 17,068 17,697 18,111 18,892 19,114 18,037 17,350 17,487
Adjusted operating profit 2,362 1,899 2,152 3,182 3,025 2,462 2,611 2,867
Adjusted operating margin, % 13.8 10.7 11.9 16.8 15.8 13.6 15.0 16.4
Operating profit 1,692 1,708 1,763 3,108 2,633 2,081 1,913 2,644
Operating margin, % 9.9 9.6 9.7 16.4 13.8 11.5 11.0 15.1
Assets and liabilities, net 49,362 51,943 50,387 53,510 56,247 54,550 50,420 55,390
Registered number of employees 35,826 36,143 35,965 35,542 35,411 34,837 34,017 33,722
Automotive Q2/22 Q3/22 Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24
Net sales 6,587 7,278 7,250 7, 657 8,009 7,734 7,088 7,212
Adjusted operating profit 111 232 390 296 589 494 318 436
Adjusted operating margin, % 1.7 3.2 5.4 3.9 7.4 6.4 4.5 6.0
Operating profit –111 221 306 271 580 486 12 349
Operating margin, % –1.7 3.0 4.2 3.5 7.2 6.3 0.2 4.8
Assets and liabilities, net 14,940 16,048 15,255 15,363 16,018 15,778 14,611 15,535
Registered number of employees 4,046 4,086 4,049 4,031 3,951 3,966 4,089 3,968
1) Previously published figures for 2022 and 2023 have been restated to reflect change in responsibilities for factories and Group functions in accordance with new organizational structure.
17 SKF FIRST-QUARTER REPORT 2024

===== SIDA 18 =====

Notes
Note 1  Accounting principles
The consolidated financial statements of the SKF Group 
were prepared in accordance with International Financial 
Reporting Standards (IFRS) as adopted by the EU. The 
interim report was prepared in accordance with IAS 34 
Interim Financial Reporting. 
 Disclosures as required by IAS 34 p. 16 A are provided 
in the notes to the financial statements as well as in other 
parts of the interim report. The financial statements of the 
Parent Company were prepared in accordance with the 
“Annual Accounts Act” and the RFR 2 “Accounting for legal 
entities”. SKF Group and the Parent Company applied the same 
accounting principles and methods of computation in the 
interim financial statements as compared with the latest 
annual report. IASB issued several amended accounting 
standards that were endorsed by EU, effective date 1 January 
2024. None of these have a material effect on the SKF Group´s 
financial statements.
Pillar II income taxes legislation was effective from  
1 January 2024. Under the legislation, the parent company 
will be required to pay top-up tax on profit of its subsidiaries 
that are taxed at an effective tax rate of less than 15 percent.  
No top-up tax has been included in the financial statements 
for the first quarter. SKF Group has analyzed the financial 
figures and concluded that the Group is not expecting any 
additional material top-up tax during 2024. The Group 
will continue to assess the impact of Pillar II income taxes 
legislation on its future financial performance.
 Valuation principles and classifications of the financial 
instruments, as described in SKF Annual report 2023, have 
been consistently applied throughout the reporting period. 
There are no major changes in fair value during the period.
Note 2  Transactions with relates parties
No significant change is present for transactions with  
related parties in relation to disclosure provided in Annual 
Report 2023.
Note 3  Risks and uncertainties in the business
The SKF Group operates in many different industrial and 
geographical areas that are at different stages of the 
economic cycle. A general economic downturn at global 
level, for example caused by a pandemic, or in one of the 
world’s leading economies, could reduce the demand for the 
Group’s products, solutions and services for a period of time. 
In addition, terrorism and other hostilities, as well as distur -
bances in worldwide financial markets and natural disasters, 
could have a negative effect on the demand for the Group’s 
products and services. There are also political and regulatory 
risks associated with the wide geographical presence. 
The SKF Group is subject to both transaction and trans-
lation of currency exposure. For commercial flows the SKF 
Group is primarily exposed to the EUR, USD and CNY. As the 
major part of the profit is made outside Sweden, the Group is 
also exposed to translational risks in all the major currencies. 
The financial position of the Parent Company is dependent 
on the financial position and development of the subsidiaries. 
A general decline in the demand for the products and services 
provided by the Group could mean lower residual profits and 
lower dividend income for the Parent Company, as well as a 
need for writing down values of the shares in the subsidiaries. 
SKF is subject to an investigation in Brazil by the General 
Superintendence of the Administrative Council for Economic 
Defense, regarding an alleged violation of antitrust rules  
by several companies active on the automotive aftermarket  
in Brazil.
Gothenburg, 26 April 2024
Aktiebolaget SKF (publ)
Rickard Gustafson
President and CEO
 
This report has not been reviewed by AB SKF’s auditors.
18 SKF FIRST-QUARTER REPORT 2024

===== SIDA 19 =====

Parent Company condensed  
income statements
MSEK Jan-Mar 2024 Jan-Mar 2023
Revenue 2,510 1,959
Cost of revenue –1,451 –1,651
General management and 
administrative expenses –421 –411
Other operating income/expenses, net 4 4
Operating profit 642 –99
Financial income and expenses, net –17 4
Profit before taxes 625 –95
Appropriations — —
Income taxes –140 4
Net profit 485 –91
Parent Company condensed state-
ments of comprehensive income
MSEK Jan-Mar 2024 Jan-Mar 2023
Net profit 485 –91
Items that may be reclassified to the 
income statement:
Assets at fair value through other 
comprehensive income –21 18
Other comprehensive income,  
net of tax 464 –73
Total comprehensive income 464 –73
Parent Company condensed  
balance sheets
MSEK March 2024 December 2023
Intangible assets 970 1,021
Investments in subsidiaries 22,431 22,431
Receivables from subsidiaries 15,974 15,281
Other non-current assets 767 857
Non-current assets 40,142 39,590
Receivables from subsidiaries 6,610 6,176
Other receivables 426 505
Current assets 7,036 6,681
Total assets 47,178 46,271
Shareholders' equity 25,629 25,254
Provisions 790 741
Non-current liabilities 15,971 15,278
Current liabilities 4,788 4,998
Total shareholders' equity, provisions and liabilities 47,178 46,271
19 SKF FIRST-QUARTER REPORT 2024

===== SIDA 20 =====

Alternative performance measures and definitions
Adjusted operating profit
Operating profit excluding items affecting comparability.
Adjusted operating margin
Operating profit margin excluding items affecting 
 comparability.
Adjusted earnings/loss per share in SEK 
Basic earnings per share excluding items affecting 
comparability.
Basic earnings/loss per share in SEK (as defined by IFRS)
Profit/loss after taxes less non-controlling interests divided 
by the ordinary number of shares. 
Currency impact on operating profit
The effects of both translation and transaction flows based  
on current assumptions and exchange rates compared to the 
corresponding period last year.
Debt
Loans and net provisions for post-employment benefits.
EBITA 
(Earnings before interest, taxes and amortization).  
Operating profit before amortizations.
EBITDA 
(Earnings before interest, taxes, depreciation and  
amortization) Operating profit before depreciations,  
amortizations, and  i mpairments.
Equity/assets ratio
Equity as a percentage of total assets.
Gearing
Debt as a percentage of the sum of debt and equity. 
Gross margin
Gross income as a percentage of net sales.
Items affecting comparability
Significant income/expenses that affect comparability 
between accounting periods. This includes, but is not limited 
to, restructuring costs, impairments and write-offs, currency 
exchange rate effects caused by devaluations and gains and 
losses on divestments of businesses.
Net debt
Debt less short-term financial assets excluding derivatives.
Net debt/EBITDA
Net debt, in relation to twelve months rolling EBITDA.
Net debt/equity
Net debt, as a percentage of equity.
Net worth per share (Equity per share)
Equity excluding non-controlling interests divided by the 
ordinary number of shares.
Net working capital as % of 12 month rolling sales (NWC)
Trade receivables plus inventory minus trade payables as a 
 percentage of twelve months rolling net sales.
Operating margin
Operating profit/loss, as a percentage of net sales.
Organic growth 
Sales excluding effects of currency and aquired and divested 
businesses. 
Revenue growth 
Sales excluding effects of currency and divested businesses. 
Registered number of employees
Total number of employees included in SKF’s payroll at the 
end of the period. 
Return on capital employed (ROCE)
Operating profit/loss plus interest income, as a percentage 
of twelve months rolling average of total assets less the 
 average of non-interest bearing liabilities.
Return on equity (ROE)
Profit/loss after taxes as a percentage of twelve months 
 rolling average of equity.
SKF demand outlook
The demand outlook for SKF’s products and services 
 represents management’s best estimate based on current 
information about the future demand from our customers. 
The demand outlook is the expected volume development 
in the markets where our  customers operate.
For reconciliations of other Key Ratios,  
see investors.skf.com/en.
Cautionary statement
This report contains forward-looking statements  
that are based on the current expectations of the 
management of SKF. Although management believes 
that the expectations reflected in such forward-looking 
statements are reasonable, no assurance can be 
given that such expectations will prove to have been 
correct. Accordingly, results could differ materially from 
those implied in the forward-looking statements as a 
result of, among other factors, changes in economic, 
market and competitive conditions, changes  in 
the regulatory environment and other government 
actions, fluctuations in exchange rates and other 
factors mentioned in SKF’s latest annual report 
(available on investors.skf.com/en), including under 
the Administration Report; “Risk management” and  
in this report under “Risks and uncertainties in  
the business.”
20 SKF FIRST-QUARTER REPORT 2024

===== SIDA 21 =====

This is SKF
SKF is a world-leading provider of innovative solutions that 
help industries become more competitive and sustainable. 
By making products lighter, more efficient, longer lasting, 
and repairable, we help our customers improve their rotating 
equipment performance and reduce their environmental 
impact. Our offering around the rotating shaft includes 
bearings, seals, lubrication management, condition 
 monitoring, and services.  
Quick facts
Founded 1907
Represented in around 130 countries 
Net sales in 2023: SEK 103,881 million  
40,396 employees
> 17,000 distributors 
AB SKF (publ)
Postal address: SE-415 50 Gothenburg, Sweden 
Visiting address: Sven Wingquists Gata 2 
tel: +46 31 337 10 00
www.skf.com 
Company reg.no. 556007-3495 
For further information, please contact:
INVESTOR RELATIONS:  
Sophie Arnius, Head of Investor Relations 
mobile: +46 705 908 072 
e-mail: sophie.arnius@skf.com
PRESS: Carl Bjernstam, Head of Media Relations
tel: +46 31 337 2517 mobile: +46 722 201 893  
e-mail: carl.bjernstam@skf.com
® SKF is a registered trademark of AB SKF (publ). © SKF Group 2024. All rights reserved. Please note that this publication may not be copied or distributed, in whole or in part, 
unless prior written permission is granted. Every care has been taken to ensure the accuracy of the information contained in this publication, but no liability can be accepted 
for any loss or damage whether direct, indirect or consequential arising out of the use of the information contained herein. April 2024. 
SKF has developed a novel solution to an emerging problem in electric vehicle (EV) powertrain design. The SKF Conductive brush ring 
 provides a reliable electrical connection between an EV eAxle rotor shaft and its housing, which increases eAxle lifetime expectations.
Webcast 
26 April at 08:00 (CEST), 07.00 (GMT)  
https://investors.skf.com/en
Sweden  +46 (0)8 5051 0031
UK / International +44 (0)207 107 0613 
ID number  43658997 
The financial information in this report contains inside 
information that AB SKF is obliged to make public pursuant 
to the EU Market Abuse Regulation. The information was 
submitted for publication through the agency of the contact 
persons set out above, on 26 April 2024 at 07.00 CEST. 
Calendar 2024
18 July Q2 report
30 October Q3 report
31 January 2025 Q4 report 
21